Foster care kids get a lift

Saturday

Oct 6, 2012 at 12:01 AM

Eddye Vanderkwaak's life story is really two tales.

Steve Rosen

Eddye Vanderkwaak's life story is really two tales.

There's the girl who grew up in a dysfunctional home in Iowa until she was 14, living primarily with her father. It was a week-to-week existence, with her father borrowing from friends and family members to cover the bills.

Then there's the girl who rebounded in the foster care system and now at age 21 is about to earn an associate's degree in liberal arts from a community college. That success has inspired her to apply to law school with the hope of becoming a judge overseeing child welfare cases.

It's been a dramatic transformation - one that Vanderkwaak admits might not have happened if not for Opportunity Passport, a financial education program developed by the Jim Casey Youth Opportunities Initiative.

In September, Vanderkwaak attended a conference in Washington for the release of a report, "Enduring Assets: Findings from a Study on the Financial Lives of Young People Transitioning from Foster Care." The study was prepared by researchers who focused on how personal financial education can play a key role in helping youngsters move from the foster care system into college and independent living.

That's part of the mission of the Jim Casey Youth Opportunities Initiative, named in memory of the founder of United Parcel Service. Founded 11 years ago, the St. Louis-based organization provides financial support through Operation Passport's matched savings program of up to $1,000 a year to young people in foster care who are coming into adulthood.

The donor-supported program is organized in 15 states for young people ages 14 to 23 who were in foster care after their 14th birthday.

More than 6,000 teens and young adults have collectively saved $5 million to be used for education, an apartment, a car or other assets, according to the youth organization.

Vanderkwaak is one of them.

But before receiving any financial help, she had to participate in a training program to learn about budgeting, banking and other money matters. Gaining this knowledge opened her eyes to the possibility of attending college.

Given the difficulties many teens and young adults face in getting a grip on money issues, Vanderkwaak urges them to:

» Keep a budget and track spending. It's important to know how much money you make, when and how often you get paid, and what fixed expenses you have each month, she said.

» Plan ahead - especially for the unexpected.

» If you need to borrow, always repay your debts on time.

» Do your research, and never be afraid to ask questions.

As Vanderkwaak learned, it's OK if you don't know all the answers. It's also OK to reach out for help.

Contact Steve Rosen, a personal finance columnist at The Kansas City Star, at srosen@kcstar.com.